Bill C-30 (Historical)

Budget Implementation Act, 2021, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on April 19, 2021 and other measures

Part 1 implements certain income tax measures by
(a) providing relieving measures in connection with COVID-19 in respect of the use by an employee of an employer-provided automobile for the 2020 and 2021 taxation years;
(b) limiting the benefit of the employee stock option deduction for employees of certain employers;
(c) providing an adjustment for payments or repayments of government assistance in determining capital cost allowance for certain zero-emission vehicles;
(d) expanding the scope of the foreign affiliate dumping rules to further their objectives;
(e) providing change in use rules for multi-unit residential properties;
(f) establishing rules for advanced life deferred annuities;
(g) providing for an option to deduct repaid emergency benefit amounts in the year of benefit receipt and clarifying the tax treatment of non-resident beneficiaries;
(h) removing the time limitation for a registered disability savings plan to remain registered after the cessation of a beneficiary’s eligibility for the disability tax credit and modifying grant and bond repayment obligations;
(i) increasing the basic personal amount for certain taxpayers;
(j) providing a temporary special reading of certain rules relating to the child care expense deduction and the disability supports deduction for the 2020 and 2021 taxation years;
(k) providing flow-through share issuers with temporary additional time to incur eligible expenses to be renounced to investors under their flow-through share agreements;
(l) applying the short taxation year rule to the accelerated investment incentive for resource expenditures;
(m) introducing the Canada Recovery Hiring Program refundable tax credit to support the post-pandemic recovery;
(n) amending the employee life and health trust rules to allow for the conversion of health and welfare trusts to employee life and health trusts;
(o) expanding access to the Canada Workers Benefit by revising the applicable eligibility thresholds for the 2021 and subsequent taxation years;
(p) amending the income tax measures providing support for Canadian journalism;
(q) clarifying the definition of shared-custody parent for the purposes of the Canada Child Benefit;
(r) revising the eligibility criteria, as well as the level of subsidization, under the Canada Emergency Wage Subsidy (CEWS) and Canada Emergency Rent Subsidy (CERS), extending the CEWS and the CERS until September 25, 2021, providing authority to enable the extension of these subsidies until November 30, 2021, and ensuring that the level of CEWS benefits for furloughed employees continues to align with the benefits provided through the Employment Insurance Act until August 28, 2021;
(s) preventing the use by mutual fund trusts of a method of allocating capital gains or income to their redeeming unitholders where the use of that method inappropriately defers tax or converts ordinary income into capital gains;
(t) extending the income tax deferral available for certain patronage dividends paid in shares by an agricultural cooperative corporation to payments made before 2026;
(u) limiting transfers of pensionable service into individual pension plans;
(v) establishing rules for variable payment life annuities;
(w) preventing listed terrorist entities under the Criminal Code from qualifying as registered charities and providing for the suspension or revocation of a charity’s registration where it makes false statements for the purpose of maintaining registration;
(x) ensuring the appropriate interaction of transfer pricing rules and other rules in the Income Tax Act;
(y) preventing non-resident taxpayers from avoiding Canadian dividend withholding tax on compensation payments made under cross-border securities lending arrangements with respect to Canadian shares;
(z) allowing for the electronic delivery of requirements for information to banks and credit unions;
(aa) improving existing rules meant to prevent taxpayers from using derivative transactions to convert ordinary income into capital gains;
(bb) extending to a wider array of eligible automotive equipment and vehicles the 100% capital cost allowance write-off for business investments in certain zero-emission vehicles;
(cc) ensuring that the accelerated investment incentive for depreciable property applies properly in particular circumstances; and
(dd) providing rules for contributions to a specified multi-employer plan for older members.
It also makes related and consequential amendments to the Excise Tax Act, the Air Travellers Security Charge Act, the Excise Act, 2001, the Greenhouse Gas Pollution Pricing Act, the Income Tax Regulations and the Canada Disability Savings Regulations.
Part 2 implements certain Goods and Services Tax/Harmonized Sales Tax (GST/HST) measures by
(a) temporarily relieving supplies of certain face masks and face shields from the GST/HST;
(b) ensuring that non-resident vendors supplying digital products or services (including traditional services) to consumers in Canada be required to register for the GST/HST and to collect and remit the tax on their taxable supplies to consumers in Canada;
(c) requiring distribution platform operators and non-resident vendors to register under the normal GST/HST rules and to collect and remit the GST/HST in respect of certain supplies of goods shipped from a fulfillment warehouse or another place in Canada;
(d) applying the GST/HST on all supplies of short-term accommodation in Canada facilitated through a digital platform;
(e) expanding the eligibility for the GST rebate for new housing;
(f) expanding the definition of freight transportation service for the purposes of the GST/HST;
(g) extending the application of the drop-shipment rules for the purposes of the GST/HST;
(h) treating virtual currency as a financial instrument for the purposes of the GST/HST; and
(i) clarifying the GST/HST holding corporation rules and expanding those rules to holding partnerships and trusts.
It also makes related and consequential amendments to the New Harmonized Value-added Tax System Regulations, No. 2.
Part 3 implements certain excise measures by increasing excise duty rates on tobacco products by $4.‍00 per carton of 200 cigarettes along with corresponding increases to the excise duty rates on other tobacco products.
Part 4 enacts an Act and amends several Acts in order to implement various measures.
Division 1 of Part 4 amends the Canada Deposit Insurance Corporation Act to, among other things,
(a) specify the steps that an assessor must follow when they review a determination of the Canada Deposit Insurance Corporation with respect to the payment of compensation to certain persons;
(b) clarify that the determination of whether or not persons are entitled to compensation is to be made in accordance with the regulations;
(c) prevent a person from taking certain actions in relation to certain agreements between the person and a federal member institution by reason only of a monetary default by that institution in the performance of obligations under those agreements if the default occurs in the period between the making of an order directing the conversion of that institution’s shares or liabilities and the occurrence of the conversion;
(d) require certain federal member institutions to ensure that certain provisions of that Act — or provisions that have substantially the same effect as those provisions — apply to certain eligible financial contracts, including those contracts that are subject to the laws of a foreign state;
(e) exempt eligible financial contracts between a federal member institution and certain entities, including Her Majesty in right of Canada, from a provision of that Act that prevents certain actions from being taken in relation to those contracts; and
(f) extend periods applicable to certain restructuring transactions for financial institutions.
It also amends the Payment Clearing and Settlement Act to
(a) specify the steps that an assessor must follow when they review a determination of the Bank of Canada with respect to the payment of compensation to certain persons or entities; and
(b) clarify that systems or arrangements for the exchange of payment messages for the purpose of clearing or settlement of payment obligations may be overseen by the Bank of Canada as clearing and settlement systems.
Finally, it amends not-in-force provisions of the Canada Deposit Insurance Corporation Act, enacted by the Budget Implementation Act, 2018, No. 1, so that, under certain circumstances, an error or omission that results in a failure to meet a requirement of the schedule to the Canada Deposit Insurance Corporation Act will not prevent a deposit from being considered a separate deposit.
Division 2 of Part 4 amends the Bank of Canada Act to authorize the Bank of Canada to publish certain information about unclaimed amounts.
It also amends the Pension Benefits Standards Act, 1985 with respect to the transfer of pension plan assets relating to the pension benefit credit of any person who cannot be located to, among other things,
(a) limit the circumstances in which such assets may be transferred and specify conditions for the transfer; and
(b) specify the effects of a transfer on any claims that may be made in respect of those assets.
Finally, it amends the Trust and Loan Companies Act and the Bank Act to
(a) include amounts that are not in Canadian currency in the unclaimed amounts regime; and
(b) impose additional requirements on financial institutions in connection with their transfers of unclaimed amounts to the Bank of Canada and communications with the owners of those amounts.
Division 3 of Part 4 amends the Budget Implementation Act, 2018, No. 2 to exclude certain businesses from the application of a provision of the Bank Act that it enacts, which allows certain agreements that have been entered into with banks to be cancelled.
Division 4 of Part 4 amends the Trust and Loan Companies Act, the Bank Act and the Insurance Companies Act to extend the period during which federal financial institutions governed by those Acts may carry on business to June 30, 2025.
Division 5 of Part 4 amends the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law) to
(a) provide that the entities referred to in that Act are no longer required to disclose to the principal agency or body that supervises or regulates them the fact that they do not have in their possession or control any property of a foreign national who is the subject of an order or regulation made under that Act; and
(b) change the frequency with which those entities are required to disclose to the principal agency or body that supervises or regulates them the fact that they have such property in their possession or control from once a month to once every three months.
Division 6 of Part 4 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to
(a) extend the application of Part 1 of that Act to include persons and entities engaged in the business of transporting currency or certain other financial instruments;
(b) provide that the Financial Transactions and Reports Analysis Centre make assessments to be paid by persons or entities to which Part 1 applies, based on the amount of certain expenses incurred by the Centre, and to authorize the Governor in Council to make regulations respecting those assessments;
(c) amend the definitions of designated information to include certain information associated with virtual currency transactions and widely held or publicly traded trusts that the Centre can disclose to law enforcement or other governmental bodies;
(d) change the maximum penalties for summary conviction offences;
(e) expand the list of persons or entities that are not eligible for registration with the Centre; and
(f) make other technical amendments.
Division 7 of Part 4 enacts the Retail Payment Activities Act, which establishes an oversight framework for retail payment activities. Among other things, that Act requires certain payment service providers to identify and mitigate operational risks, safeguard end-user funds and register with the Bank of Canada. That Act also provides the Minister of Finance with powers to address risks related to national security that could be posed by payment service providers. This Division also makes related amendments to the Canada Deposit Insurance Corporation Act, the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, the Financial Consumer Agency of Canada Act and the Payment Card Networks Act.
Division 8 of Part 4 amends the Pension Benefits Standards Act, 1985 to establish new requirements and grant new regulation-making powers to the Governor in Council with respect to negotiated contribution plans.
Division 9 of Part 4 amends the First Nations Fiscal Management Act to allow First Nations that are borrowing members of the First Nations Finance Authority to assign their rights to certain revenues payable by Her Majesty in right of Canada, for the purpose of securing financing for that Authority’s borrowing members.
Division 10 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to, among other things, increase the maximum amount of a fiscal stabilization payment that may be made to a province and to make technical changes to the calculation of fiscal stabilization payments.
Division 11 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to authorize additional payments to the provinces and territories.
Division 12 of Part 4 authorizes payments to be made out of the Consolidated Revenue Fund in relation to Canada’s COVID-19 immunization plan.
Division 13 of Part 4 authorizes payments to be made out of the Consolidated Revenue Fund in relation to infrastructure and amends the heading of Part 9 of the Keeping Canada’s Economy and Jobs Growing Act.
Division 14 of Part 4 authorizes amounts to be paid out of the Consolidated Revenue Fund, to a maximum total amount of $3,056,491,000, for annual payments to Newfoundland and Labrador in accordance with the terms and conditions of the Hibernia Dividend Backed Annuity Agreement.
Division 15 of Part 4 amends the Nova Scotia and Newfoundland and Labrador Additional Fiscal Equalization Offset Payments Act to authorize the Minister of Finance to make an additional fiscal equalization offset payment to Nova Scotia for the 2020–2021 fiscal year and to extend that Minister’s authority to make additional fiscal equalization offset payments to Nova Scotia until March 31, 2023.
Division 16 of Part 4 amends the Telecommunications Act to provide that decisions made by the Canadian Radio-television and Telecommunications Commission on whether or not to allocate funding to expand access to telecommunications services in underserved areas are not subject to review under section 12 or 62 of that Act but are subject to review by the Commission on its own initiative. It also amends that Act to provide for the exchange of information within the federal government and with provincial governments for the purpose of coordinating financial support for access to telecommunications services in underserved areas.
Division 17 of Part 4 amends the Canada Small Business Financing Act to, among other things,
(a) specify that lines of credit are loans;
(b) set a limit on the liability of the Minister of Small Business and Tourism in respect of each lender for lines of credit;
(c) remove the restriction excluding not-for-profit businesses, charitable businesses and businesses having as their principal object the furtherance of a religious purpose as eligible borrowers;
(d) increase the maximum amount of all loans that may be made in relation to a borrower under that Act; and
(e) provide that lesser maximum loan amounts may be prescribed by regulation for loans other than lines of credit, lines of credit and prescribed classes of loans.
Division 18 of Part 4 amends the Customs Act to change certain rules respecting the correction of declarations made under section 32.‍2 of that Act, the payment of interest due to Her Majesty and securities required under that Act, and to define the expression “sold for export to Canada” for the purposes of Part III of that Act.
Division 19 of Part 4 amends the Canada–United States–Mexico Agreement Implementation Act to require the concurrence of the Minister of Finance when the Minister designated for the purposes of section 16 of that Act appoints panellists and committee members and proposes the names of individuals for rosters under Chapter 10 of the Canada–United States–Mexico Agreement.
Division 20 of Part 4 amends Part 5 of the Department of Employment and Social Development Act to make certain reforms to the Social Security Tribunal, including
(a) changing the criteria for granting leave to appeal and introducing a de novo model for appeals of decisions of the Income Security Section at the Appeal Division;
(b) giving the Governor in Council the authority to prescribe the circumstances in which hearings may be held in private; and
(c) giving the Chairperson of the Social Security Tribunal the authority to make rules of procedure governing appeals.
Division 21 of Part 4 amends the definition of “previous contractor” in Part I of the Canada Labour Code in order to extend equal remuneration protection to employees who are covered by a collective agreement and who work for an employer that
(a) provides services at an airport to another employer in the air transportation industry; or
(b) provides services to another employer in another industry and at other locations that may be prescribed by regulation.
Division 22 of Part 4 amends Part III of the Canada Labour Code to establish a federal minimum wage of $15 per hour and to provide that if the minimum wage of a province or territory is higher than the federal minimum wage, the employer is to pay a minimum wage that is not less than that higher minimum wage. It also provides that, except in certain circumstances, the federal minimum wage per hour is to be adjusted upwards annually on the basis of the Consumer Price Index for Canada.
Division 23 of Part 4 amends the provisions of the Canada Labour Code respecting leave related to the death or disappearance of a child in cases in which it is probable that the child died or disappeared as a result of a crime, in order to, among other things,
(a) increase the maximum length of leave for a parent of a child who has disappeared from 52 weeks to 104 weeks;
(b) extend eligibility to parents of children who are 18 years of age or older but under 25 years of age; and
(c) limit the exception that applies in the case of a parent of a child who has died as a result of a crime if it is probable that the child was a party to the crime so that the exception applies only with respect to a child who is 14 years of age or older.
Division 24 of Part 4 authorizes the Minister of Employment and Social Development to make a one-time payment to Quebec for the purpose of offsetting some of the costs of aligning the Quebec Parental Insurance Plan with temporary measures set out in Part VIII.‍5 of the Employment Insurance Act.
Division 25 of Part 4 amends the Judges Act to provide that, if the Canadian Judicial Council recommends that a judge be removed from judicial office, the time counted towards the judge’s pension entitlements will be frozen and their pension contributions will be suspended, as of the day on which the recommendation is made. If the recommendation is rejected, the judge’s pension contributions will resume, the time counted towards their pension entitlement will include the suspension period and the judge will be required to make all the contributions that would have been required had the contributions never been suspended.
Division 26 of Part 4 amends the Federal Courts Act and the Tax Court of Canada Act to increase the number of judges for the Federal Court of Appeal by one and the number of judges for the Tax Court of Canada by two. It also amends the Judges Act to authorize the salary for the new Associate Chief Justice for the Trial Division of the Supreme Court of Newfoundland and Labrador and the salaries for the following new judges: five judges for the Ontario Superior Court of Justice, two judges for the Supreme Court of British Columbia and two judges for the Court of Queen’s Bench for Saskatchewan.
Division 27 of Part 4 amends the National Research Council Act to provide the National Research Council of Canada with the authority to engage in the production of “drugs” or “devices”, as those terms are defined in the Food and Drugs Act, for the purpose of protecting or improving public health. It also amends that Act to provide authority for the incorporation of corporations and the acquisition of shares in corporations.
Division 28 of Part 4 amends the Department of Employment and Social Development Act in relation to the collection and use of Social Insurance Numbers by the Minister of Labour.
Division 29 of Part 4 amends the Canada Student Loans Act to provide that, during the period that begins on April 1, 2021 and ends on March 31, 2023, no interest is payable by a borrower on a guaranteed student loan.
It also amends the Canada Student Financial Assistance Act to provide that, during the period that begins on April 1, 2021 and ends on March 31, 2023, no interest is payable by a borrower on a student loan.
Finally, it amends the Apprentice Loans Act to provide that, during the period that begins on April 1, 2021 and ends on March 31, 2023, no interest is payable by a borrower on an apprentice loan.
Division 30 of Part 4 confirms the validity of certain regulations in relation to the cancellation or postponement of certain First Nations elections.
Division 31 of Part 4 amends the Old Age Security Act to increase the Old Age Security pension payable to individuals aged 75 and over by 10%. It also provides that any amount payable in relation to a program to provide a one-time payment of $500 to pensioners who are 75 years of age or older may be paid out of the Consolidated Revenue Fund.
Division 32 of Part 4 amends the Public Service Employment Act to, among other things,
(a) require that the establishment and review of qualification standards and the use of assessment methods in respect of appointments include an evaluation of whether there are biases or barriers that disadvantage persons belonging to any equity-seeking group;
(b) provide that audits and investigations may include the determination of whether there are biases or barriers that disadvantage persons belonging to any equity-seeking group; and
(c) give permanent residents the same preference as Canadian citizens in external advertised appointment processes.
Division 33 of Part 4 authorizes the making of payments to the provinces for early learning and child care for the fiscal year beginning on April 1, 2021.
Division 34 of Part 4 amends the Canada Recovery Benefits Act to, among other things,
(a) provide that the maximum number of two-week periods in respect of which a Canada recovery benefit is payable is 25;
(b) reduce the amount of a Canada recovery benefit for a week to $300 in certain circumstances;
(c) provide that certain persons who were paid benefits under the Employment Insurance Act are eligible to be paid a Canada recovery benefit in certain circumstances;
(d) provide that the maximum number of weeks in respect of which a Canada recovery caregiving benefit is payable is 42; and
(e) provide that the Governor in Council may, by regulation, on the recommendation of the Minister of Employment and Social Development and the Minister of Finance, amend certain provisions of that Act to replace the date of September 25, 2021 by a date not later than November 20, 2021.
It also amends the Canada Labour Code to provide that the maximum number of weeks of leave for COVID-19 related caregiving responsibilities is 42.
Finally, it repeals provisions of the Canada Recovery Benefits Regulations and the Canada Labour Standards Regulations.
Division 35 of Part 4 amends the Employment Insurance Act to, among other things,
(a) facilitate access to unemployment benefits for a period of one year by
(i) reducing the number of hours of insurable employment required to qualify for unemployment benefits to a national threshold of 420 hours,
(ii) reducing the amount of earnings from self-employment that a self-employed person is required to have to be eligible to access special unemployment benefits,
(iii) providing that only a claimant’s most recent separation from employment will be considered in determining whether they qualify for unemployment benefits,
(iv) ensuring that earnings paid to a person because of the complete severance of their relationship with their former employer do not extend the person’s benefit period, and
(v) providing for an increase in the maximum number of weeks for which regular unemployment benefits may be paid to a seasonal worker if certain conditions are met; and
(b) extend the maximum number of weeks for which benefits may be paid because of a prescribed illness, injury or quarantine from 15 to 26.
It also amends the Canada Labour Code to, among other things, extend to 27 the maximum number of weeks to which an employee is entitled for a medical leave of absence from employment.
It also amends the Employment Insurance Regulations to, among other things, ensure that, for a period of one year, earnings paid to a person because of the complete severance of their relationship with their former employer do not extend the person’s benefit period or delay payment of benefits to the person.
Finally, it amends the Employment Insurance (Fishing) Regulations to, among other things, reduce, for a period of one year, the amount of earnings that a fisher is required to have to qualify for unemployment benefits.
Division 36 of Part 4 amends the Canada Elections Act to provide that the offences related to the prohibition on making or publishing certain false statements with the intention of affecting the results of an election require that the person or the entity making or publishing the statement knows that the statement in question is false.

Budget Implementation Act, 2021, No. 1

[Larry Bagnell, Liberal, Parliamentary Secretary to the Minister of Economic Development and Official Languages (Canadian Northern Economic Development Agency)]

Mr. Speaker, I thank the member for his speech, for a couple of reasons. One is that he mentioned the very important item of mental health, and we really appreciate that and agree with him because of our large contributions to that area before the budget and in the budget, but I basically want to thank him for his support of business. I know he would appreciate that we have provided over 27,000 CEWS loans worth $1.4 billion to Saskatchewan and protected 98,000 jobs in Saskatchewan with $1.28 billion, as well as putting $50 million into 731 RRRF projects.

I am hoping the member will support the budget, because some of these business owners, as he heard in an earlier speech tonight, said they will not be quite ready to get back, and without this budget the rent subsidy and the wage subsidy will expire in June, at the end of this month. This budget would extend them to September and also add a billion dollars for tourism and $700 million for small businesses, so I hope the member will quickly support the budget implementation act, Bill C-30, so that we can get these things in place to continue to support Saskatchewan businesses.

[Kevin Waugh, Conservative, Saskatoon—Grasswood, SK]

Mr. Speaker, I want to thank the hon. parliamentary secretary; he has been a great spokesman for northern Canada.

In my province of Saskatchewan, the hospitality industry has really been hit in the last 14 months. We have hotels that had opened, and the operators have phoned my office in the last couple of months saying that they missed the timing when they opened last April. Twelve or 13 months later, there is no business.

The other one is the tourism industry. The member is from northern Canada. The tourism industry is very important up north, but it is also very important in our province.

[Kristina Michaud, Bloc, Avignon—La Mitis—Matane—Matapédia, QC]

Mr. Speaker, I thank my colleague for his speech.

I often hear the Conservatives say that we must secure the future. In my opinion, this can only be achieved by fighting climate change. I know that our views are diametrically opposed, but, when I review the budget, I see that the government has invested $17.6 billion in the green recovery. That is a few million dollars shy of what has been shelled out to the oil industry in public subsidies, or $18 billion to be exact, since the start of the pandemic.

Even though we have opposing views, does my colleague agree that the recovery we are talking about is not green, and that more must be done for the environment with the amounts that have been announced?

[Kevin Waugh, Conservative, Saskatoon—Grasswood, SK]

Mr. Speaker, Saskatchewan is an innovation leader. Carbon sequestering in the city of Estevan was the first of its kind in Canada, and we are hoping that Alberta joins Saskatchewan. The government has talked about billions of dollars maybe in the next little while to get the carbon into the ground.

Our farmers in Saskatchewan are the best. I know that when they are drying grain in the fall, carbon capture and all that is expensive, but there is zero tillage. We are on the cusp and have been for decades in our province. We are world leaders. I am very proud of Saskatchewan's innovation. Saskatchewan will beat the curve. Saskatchewan will far exceed the green economy from other regions in this country. I know that for a fact.

[Don Davies, NDP, Vancouver Kingsway, BC]

Mr. Speaker, I would like to thank my hon. colleague for raising the plight of students. He mentioned the crushing debt that students have to incur now to get a post-secondary education.

The history of education in this country over the last 150 years has been one of extension. At one time, having primary school education was enough. In the 1950s and 1960s it was high school. Now, let us face it: People really cannot participate in our society unless they have some form of post-secondary education, whether that is a trade, a community college or a university.

Does the member agree that it is time that we extended our concept of public education to include at least the first two years of post-secondary education so that we can make it accessible to all Canadian students, not only to help them get the education they need to succeed but also to help our economy meet its full potential by having free tuition for students in post-secondary education?

[Kevin Waugh, Conservative, Saskatoon—Grasswood, SK]

Mr. Speaker, it is funny that the hon. member for Vancouver Kingsway asks that question, because my wife is a former teacher and both my kids are teaching, one in Saskatoon and one in Lethbridge, and I spent 10 years as a school board trustee.

Yes, education is first and foremost in our province of Saskatchewan. In fact, it should be in Canada. It is funny that we do not even have an education minister, and yet we control education on reserves. When I asked two or three years ago what the attendance figures are on reserves, the government did not have any answers.

As parliamentarians, we have to do a better job in this House. We have to ask the questions about grades and attendance. I totally agree with the hon. member.

[The Deputy Speaker, Bruce Stanton]

Before resuming debate, I would advise the hon. member for Abitibi—Témiscamingue that he currently has about three and a half minutes left for his remarks. The hon. member for Abitibi—Témiscamingue.

[Sébastien Lemire, Bloc, Abitibi—Témiscamingue, QC]

Mr. Speaker, thank you for your generosity with regard to my time. By the way, I would like to offer you my congratulations. I had the privilege of witnessing your speech yesterday. It was a great lesson in democracy. I was pleased to hear it.

With Bill C-30, the federal government is demonstrating a flagrant lack of consideration for Quebec, its choices and the will of Quebeckers. I wish to remind members that the Bloc Québécois voted against budget 2021 because the federal government did not respond to our two main requests, namely to permanently and significantly increase the Canada health transfers by raising them from 22% to 35%, a demand shared by the National Assembly and unanimously supported by the provinces, and to increase old age security by $110 a month for people aged 65 and over.

Despite our reservations, the Bloc Québécois recognizes that budget 2021 is geared towards the post-COVID recovery. It will make it easier for Quebec's small businesses to access credit. It was essential that Bill C‑30 include an increase in credit-related funding for small businesses, especially start-ups, which have been struggling during the pandemic. Bill C‑30 encourages innovation and the potential for a greener economic recovery through its expanded lending against intellectual property.

However, access to credit is not the only way to help businesses recover, as credit often leads to debt, which can push businesses into bankruptcy. Credit becomes harmful when it is used to cover fixed and recurring business costs. In some cases, it merely postpones bankruptcy. What has the government done to revitalize businesses and reduce their administrative burden? Little or nothing.

The government could take action. It has no excuse not to. With a deficit of over $1 trillion, I think it has some leeway. The federal government is not doing enough to help businesses take advantage of opportunities arising from international agreements. These agreements are so complicated and hard to understand, involving so many laws, regulations, measures, norms and provisions, that it is hard for business owners to properly assess them and see all of the possibilities. There needs to be communication. What is the federal government waiting for? When will it reduce this burden in order to better support businesses in getting their goods to market internationally and strengthen the ability of Quebec and Canadian industries and businesses to compete globally?

I care about Quebec businesses, particularly agricultural businesses, so I find it troubling that the government is doing so little to reduce the tax burden on agricultural business owners. What is more, one of the simplest solutions for reducing the administrative burden on businesses in Quebec is to implement a single tax return administered by Quebec. That is something that has been repeatedly called for by the Premier of Quebec, François Legault, and it reflects the unanimous will of the Quebec National Assembly.

I will point out that the Government of Quebec already collects the GST on Ottawa's behalf. That means the Government of Quebec has everything it needs to collect all taxes in Quebec. Direct access to foreign tax information would also give the Government of Quebec the power to fight tax havens. Ottawa has no credibility on that front. If Revenu Québec acquires that expertise, it will be in a better position to ensure tax fairness for all Quebec taxpayers.

[The Deputy Speaker, Bruce Stanton]

The hon. member for Abitibi—Témiscamingue will have another six and a half minutes to finish his speech when the House resumes debate on this motion, plus another five minutes for questions and comments.

The House resumed from June 16 consideration of Bill C‑30, An Act to implement certain provisions of the budget tabled in Parliament on April 19, 2021 and other measures, as reported (with amendments) from the committee, and of Motion No. 2.

[The Assistant Deputy Speaker, Carol Hughes]

Resuming debate. The member has six and a half minutes to finish his speech.

[Sébastien Lemire, Bloc, Abitibi—Témiscamingue, QC]

Madam Speaker, as I was saying, the facts show that Quebeckers cannot count on the federal government to take action against tax havens. There is nothing in budget 2021 to do away with them.

Unfortunately, there are provisions in Bill C‑30 that make it even easier to use tax havens. The federal government is therefore still complicit in tax avoidance schemes, which makes Canada part of the problem and not part of the solution in the fight against tax havens.

In budget 2021, which serves as a springboard for the post-COVID‑19 economic recovery, the federal government offers little or nothing to help small farms get better access to credit. This inability to access credit was one of the most serious problems that farmers encountered during the health crisis. That is unacceptable.

Agriculture is obviously not a priority for the Liberal government, but it is a priority for Quebec and an integral part of our culture. The Liberal government has never been interested in supporting a bill to better protect supply management, which is essential to the survival of the agricultural model. Protecting supply management has always enjoyed broad support within Quebec's agricultural sector, but it is also acknowledged by producers in the other provinces as well as in the United States, which says something.

Why did the Liberal government recently do everything it could to prevent Bill C‑216 being passed in committee? Well, it did pass, and we hope the accelerating pace of the coming days will bring this bill along for the ride. Quebec's agricultural sector is counting on us.

In the Bloc Québécois's view, parliamentary proceedings and debates too often take too long, things do not move fast enough, and people talk even though they have nothing to say. For years, and again this week, members have spoken at length in the House of Commons about various aspects of the housing problem.

Still, there remains a desperate need for housing in Abitibi—Témiscamingue as well as in several other regions of Quebec, and that need is only being made more acute by the communities' sustained efforts to attract workers.

What of the federal government's solutions to this problem? There are none. The federal government has not proposed any. I would, however, like to highlight a local initiative undertaken by the Fondation Martin-Bradley. They organized a radiothon and raised $301,000 to, among other things, build housing for people who are struggling, especially people living with mental health problems.

The Fondation Martin-Bradley got things done. I am thinking especially of Ghislain Beaulieu, and of Jean-Yves Morneau and his son, Jean-François, who organized a fundraiser among the region's entrepreneurs and businesspeople. The amount raised, $301,000, is huge, and I want to salute them. Among other things, the funds will go to finance projects, like for farm outreach workers in Abitibi—Témiscamingue's farming community, for whom psychological support is so essential. I have to say it again: All this stems from the fact that the federal budget does nothing to address the situation.

Legitimate transfer payments to Quebec to encourage housing initiatives are both slow to come and hugely insufficient. Not enough construction is happening, which is having a direct impact on the economic and social development of our regions and Quebec as a whole.

Out of respect for Quebec's jurisdictions, more substantial amounts need to be transferred, especially considering the current context, which includes the significantly higher cost of materials and labour. At the same time, tax incentives for developers would be a way to support and stimulate infrastructure initiatives that offer exciting opportunities for the recovery by building on what has been achieved in our communities, not to mention community-based housing projects that would provide a sustainable solution to this problem.

Finally, why will Ottawa not allocate funding for the regions, with no strings attached, to be administered by Quebec and people on the ground? This would encourage development projects based on specific parameters and priorities linked to specific needs. More than ever, labour shortages are hindering the economic recovery of my region, Abitibi—Témiscamingue. More than ever, the federal government needs to come up with solutions, because we are feeling abandoned right now.

I believe that the particular status of a region like Abitibi—Témiscamingue, which borders Ontario, places it in a certain situation. People back home are moving to the riding of the member for Algoma—Manitoulin—Kapuskasing because immigration cases are processed in 12 months in Ontario, whereas in my riding it takes up to 27 months, or even 30 months in certain cases. That is ridiculous.

As I was saying, in Abitibi—Témiscamingue there is a housing shortage coupled with a labour shortage, and therefore it is important to stimulate housing construction. How can we attract and keep skilled workers in Abitibi—Témiscamingue when they are unable to find a home for their families? The federal government must act quickly.

Bill C‑30 also attacks Quebec once more and its securities regulator. That is unacceptable.

How can we ignore one of the federal government's most blatant centralizing moves in recent years, its attempt to bring the financial sector under federal control by making it responsible for insurance, securities, derivatives, deposit taking institutions except for banks and the distribution of financial products and services?

The objective of this Canada-wide securities regulator is another example of the centralization of financial markets by the federal government. It wants Toronto to become a single Canada-wide regulator, which would be contrary to the independent economic development of all the other provinces. This is not just a jurisdictional dispute or a squabble between the federal and provincial governments, it is a battle between Bay Street and Quebec.

I remind members that the Bloc Québécois and Quebec are strongly opposed to this. Four times now, the National Assembly of Quebec has unanimously called on the federal government to abandon that idea. It is no exaggeration to say that everyone in Quebec is against it. Seldom have we seen Quebec's business community come together as one to oppose this very bad idea of the federal government, which just wants to cater to Bay Street.

Let the federal government and Bay Street take note: The Bloc Québécois will always stand in the way of creating a single Canada-wide securities regulator.

Having a financial markets authority is essential to Quebec's development. This is nothing short of an attack on our ability to keep our head offices. Preserving Quebec's distinct economic pillars is essential to our development. We will not let the federal government get away with this.

[Adam Vaughan, Liberal, Parliamentary Secretary to the Minister of Families]

Madam Speaker, it is always good to hear members of Parliament talk about housing. However, the interesting issue in this respect is that housing is one of the areas where exclusive jurisdiction has been sought, secured and delivered to Quebec.

If the member's riding is not getting housing money, why is he coming to Ottawa to complain? We have given every single dollar we spend on housing to the Government of Quebec. It distributes the dollars. It sets the priorities. It chooses the projects. It makes the investments.

I realize that the Bloc is here to antagonize the federal government rather than co-operate and work with us, but if the member opposite wants housing in his region, he should be going to Quebec City to get the dollars because that is where we sent them on the request of parties like the Bloc.

[Sébastien Lemire, Bloc, Abitibi—Témiscamingue, QC]

Madam Speaker, it is plain to see that the parliamentary secretary did not listen to the first part of my speech. I can forgive him to some extent because I gave it at 12:48 a.m. two days ago.

I would say that one of the problems is that it took three years to get these agreements in place. The federal government really dragged its feet on transferring the money to Quebec. Why did the other provinces get their money quickly but not Quebec?

Furthermore, in Abitibi—Témiscamingue, now that housing construction can start, the cost of materials is skyrocketing and these amounts are largely insufficient. I understand that the government did not anticipate COVID‑19, but it has a responsibility to take action on housing.

[Matthew Green, NDP, Hamilton Centre, ON]

Madam Speaker, the pandemic has exposed many flaws in our health care system, whether in terms of our vaccine supply or the quality of long-term care facilities. Our health care workers and seniors have suffered the direct consequences of years of successive Liberal and Conservative cuts, yet the budget announcement makes no increase in health care transfers.

Could the member tell us about the impact of health underfunding on the worsening of the pandemic?